Sacyr Vallehermoso, Unibail Rodamco and MAN headed losses for European equities, as

interest rate concerns continued to dominate the property and building sectors

and those stocks most geared to capital spending.

..../

Spanish property group Sacyr Vallehermoso fell 3.6 per cent to €35.04. Along with Metrovacesa, Sacyr was one of the best performing stocks of 2006, both up more than 100 per cent over the year.

But fears of a collapse in Spain’s property boom this year, along with the prospect of rising interest rates have called both to fall sharply.

Great Crash 2 is certainly taking on HPI worldwide leaving no country untouched that has participated in the Gordon-style miracle. Dr. Bubb suggests that the declining building/property stocks are one of the best bellwethers for a crash. Given the news today that City money is not rushing into UK REITS these days the sell signal is clearly flashing red. At least with property stocks you can sell at the click of a mouse but if you own investment property you are in deep doo doo.

from US concerns about the credit market and the prospect of higher US interest rates.

Great Crash 2 is indeed shaping up to be a worldwide phenomena. Funny how some still think Gordon's miracle economy will escape the consequences of world-wide credit expansion and irrationally exuberant HPI?